Target Groups and Application Eligibility:
Profits Tax Group A taxpayers (Individuals or collective persons with properly compiled accounting record whose accounts must be audited and signed by an accountant or auditor registered with the Financial Services Bureau pursuant to the present law and whom are taxed on actual profits):
A) Anonymous companies with limited liability, joint stock companies with limited liability and cooperatives;
B) Companies of any nature, with individual interests separated from those of the shareholders, having capital of not less than $1,000,000 Patacas or average taxable profits in the past three consecutive years not less than $500,000 Patacas;
C) Other individuals or collective persons with appropriately compiled accounting records and intend to opt for inclusion in this category.
- Income declaration form M/1 and annexes A and B.
A) Profits Tax – Income declaration form M/1 ANNEX A;
B) Profits Tax – Income declaration form M/1 ANNEX B;
C) Profits Tax – Income declaration form M/1 ANNEX A (Insurance Sector);
D) Profits Tax – Income declaration form M/1 ANNEX B (Insurance Sector);
E) Profits Tax -Income declaration form M/1 ANNEX A (Bank Sector);
F) Profits Tax -Income declaration form M/1 ANNEX B (Bank Sector).
- Depreciation and Amortization Schedule form M/3.
- Table of disposal and write-off of tangible and intangible Assets form M/3A.
- Provisions Movement Schedule form M/4.
- Trial balance before and after adjustments for rectification (progressive balances of the general ledger) and the final accounts.
- Copy of the minutes of the meeting or assembly for the approval of accounts and copy of the report of the supervisory council when legally required.
- Copies of the consolidated balance sheet and the profit and loss account and the notes to these statements compiled in accordance with the present Macao Accounting Standards.
- Supporting documents of bad debts.
- A technical report briefly commenting on the following:
A) Change in inventory value and the valuation criteria;
B) General administrative expenses (management remuneration, representation expenses and travelling expenses incurred during operation);
C) Other information deemed useful for the determination of the assessable profits and notes to the balance sheet and profit and loss account.
- Failure to submit, inaccuracy or omissions verified in the declarations – result in a fine of $100 to $10,000 Patacas. If the failure, inaccuracy or omission is verified to be deliberate, a fine of $1,000 to $20,000 Patacas will result.
- In the case of repetition of offence, the fine is doubled. It is considered to be a repetition if a taxpayer has been liable to a fine for an illegal conduct and has committed the same act of infringement within 18 months.
- Fines may be reduced by half of the specified amount, if taxpayer voluntarily reveals his transgression.
From April till June of each year.
- Declaration of income form M/1 of the previous year shall be submitted on time every year even though the total income remains unchanged.
- In case the residence or the head office of the taxpayer is outside Macao SAR, the address of the operating address of Macao has to be indicated in the declaration form. It is considered to be failure to submit the declaration in the absence of that information.
- The declaration must be signed either by the taxpayer, the legal representative or procurator.
- The declaration form M/1 must be further signed by the company’s accountant or auditor.
- The company’s seal should be stamped on the signature.
- Law No. 21/78/M, Official Gazette No. 36/1978, published on: 9/9/1978
- Directive No. 12/80, Official Gazette No. 10/1980, published on: 8/3/1980
- Directive No. 49/80, Official Gazette No. 31/1980, published on: 2/8/1980
- Law No. 15/96/M, Official Gazette No. 33/1996, published on: 12/8/1996
- Directive No. 59/GM/97, Official Gazette No. 38/1997, published on: 22/9/1997
- Law No. 12/2003, Official Gazette No. 32/2003, published on: 11/8/2003
- Chief Executive Order No. 11/2004, Official Gazette No. 17/2004, published on: 28/4/2004
- Law No. 4/2005, Official Gazette No. 29/2005, published on: 18/7/2005
- Chief Executive Directive No. 374/2006, Official Gazette No. 52/2006, published on: 26/12/2006